1 STATE OF OKLAHOMA
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2 2nd Session of the 59th Legislature (2024)
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3 SENATE BILL 1745 By: Boren
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6 AS INTRODUCED
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7 An Act relating to hospitals; defining terms;
7 prohibiting hospitals from taking certain collection
8 actions against patients; providing exception;
8 providing for codification; and providing an
9 effective date.
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12 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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13 SECTION 1. NEW LAW A new section of law to be codified
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14 in the Oklahoma Statutes as Section 1-725.11 of Title 63, unless
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15 there is created a duplication in numbering, reads as follows:
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16 As used in this act, unless the context otherwise requires:
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17 1. “Collection action” means any of the following actions taken
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18 with respect to a debt for items and services that were purchased
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19 from or provided to a patient by a hospital on a date during which
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20 the hospital was not in material compliance with hospital price
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21 transparency laws:
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22 a. attempting to collect a debt from a patient or patient
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23 guarantor by referring the debt, directly or
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24 indirectly, to a debt collector, a collection agency,
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 1 or other third party retained by or on behalf of the
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2 hospital,
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3 b. suing the patient or patient guarantor or enforcing an
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4 arbitration or mediation clause in any hospital
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5 documents, including contracts, agreements,
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6 statements, or bills, or
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7 c. directly or indirectly causing a report to be made to
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8 a consumer reporting agency;
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9 2. a. “Collection agency” means any:
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10 (1) person who engages in a business, the principal
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11 purpose of which is the collection of debts, or
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12 (2) person who:
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13 (a) regularly collects or attempts to collect,
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14 directly or indirectly, debts owed or due or
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15 asserted to be owed or due to another,
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16 (b) takes assignment of debts for collection
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17 purposes, or
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18 (c) directly or indirectly solicits for
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19 collection debts owed or due or asserted to
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20 be owed or due to another.
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21 b. Collection agency does not include:
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22 (1) any officer or employee of a creditor while, in
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23 the name of the creditor, collecting debts for
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24 such creditor,
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 1 (2) any person while acting as a collection agency
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2 for another person, both of whom are related by
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3 common ownership or affiliated by corporate
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4 control, if the person acting as a collection
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5 agency does so only for creditors to whom it is
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6 so related or affiliated and if the principal
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7 business of the person is not the collection of
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8 debts,
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9 (3) any officer or employee of the United States or
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10 any state to the extent that collecting or
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11 attempting to collect any debt is in the
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12 performance of the officer’s or employee’s
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13 official duties,
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14 (4) any person while serving or attempting to serve
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15 legal process on any other person in connection
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16 with the judicial enforcement of any debt,
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17 (5) any person collecting or attempting to collect
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18 any debt owed or due or asserted to be owed or
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19 due to another to the extent that:
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20 (a) the activity is incidental to a bona fide
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21 fiduciary obligation or a bona fide escrow
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22 arrangement,
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23 (b) the activity concerns a debt that was
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24 extended by the person,
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 1 (c) the activity concerns a debt that was not in
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2 default at the time it was obtained by the
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3 person, or
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4 (d) the activity concerns a debt obtained by the
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5 person as a secured party in a commercial
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6 credit transaction involving the creditor,
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7 or
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8 (6) any person whose principal business is the making
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9 of loans or the servicing of debt not in default
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10 and who acts as a loan correspondent, seller and
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11 servicer for the owner, or holder of a debt that
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12 is secured by a deed of trust on real property,
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13 whether or not the debt is also secured by an
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14 interest in personal property.
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15 c. Notwithstanding the provisions of subparagraph b of
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16 this paragraph, collection agency includes any person
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17 who, in the process of collecting the person’s own
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18 debts, uses another name that would indicate that a
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19 third person is collecting or attempting to collect
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20 such debts;
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21 3. a. “Debt” means any obligation or alleged obligation of a
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22 consumer to pay money arising out of a transaction,
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23 whether or not the obligation has been reduced to
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24 judgment.
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 1 b. Debt does not include a debt for business, investment,
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2 commercial, or agricultural purposes or a debt
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3 incurred by a business;
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4 4. “Debt collector” means any person employed or engaged by a
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5 collection agency to perform the collection of debts owed or due or
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6 asserted to be owed or due to another;
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7 5. “Hospital” means, consistent with 45 C.F.R., Section 180.20,
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8 a hospital licensed by the State Department of Health under Section
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9 1-702 of Title 63 of the Oklahoma Statutes; and
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10 6. “Items and services” or “items or services” means items and
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11 services as defined in 45 C.F.R., Section 180.20.
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12 SECTION 2. NEW LAW A new section of law to be codified
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13 in the Oklahoma Statutes as Section 1-725.12 of Title 63, unless
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14 there is created a duplication in numbering, reads as follows:
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15 A. On and after the effective date of this act, no debt
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16 collector shall initiate or pursue a collection action against the
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17 patient or patient guarantor for a debt owed for the items or
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18 services purchased from or provided to a patient by the hospital to
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19 a collection agency.
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20 B. Nothing in this act:
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21 1. Prohibits a hospital from billing a patient, patient
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22 guarantor, or third-party payer, including a health insurer, for
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23 items or services provided to the patient; or
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 1 2. Requires a hospital to refund any payment made to the
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2 hospital for items or services provided to the patient, so long as
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3 no collection action is taken in violation of this act.
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4 SECTION 3. This act shall become effective November 1, 2024.
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6 59-2-3242 MR 1/17/2024 10:37:30 AM
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